Co.opmart is a leading pure Vietnamese supermarket with more than 15 years of experience. The supermarket operates based on a simple desire of customers, a modern market but very friendly and close to the popular class. Recently, to improve customers’ shopping experience and deal with the transformation of the retail industry into an online platform, Co.opmart innovated the buying process of customers by adding the online shopping function through their official website.
2. Current state of innovation:
The application of innovation in Co.opmart’s business came from the desire to simplify customers’ shopping journey. Customers can buy products from their home and wait for delivering to their home. The advantage of this innovation is focused on busy people who does not have time available for shopping or for who does not want to go…show more content… However, their innovation efforts were not highly appreciated by customers. Because Vietnamese customers believe that for fast-moving consumer goods (FMGCs) such as beverages, packaged goods, fruits and vegetables, customers require a direct contact in order to examine goods’ quality in term of color, smell, expire dates, manufacturers, shape and size. Moreover, they are afraid of the product return process, which is considered as ambiguous, complex and unsatisfied.
3. Business challenges
There is a huge potential growth for the retail industry in Ho Chi Minh City due to a relatively low retail density index. In fact, this is an opportunity as well as a challenge for all retailers to differentiate themselves and maintain their relationship with customers. The big challenge faced by Co.opmart is the relevance between their main purpose for innovation and what customers perceive about their innovative efforts. The speedy development of the Internet changed the way